FEDERATED US GOVERNMENT SECURITIES FUND 5 10 YEARS, 497, 1997-10-30

FEDERATED US GOVERNMENT SECURITIES FUND 5 10 YEARS
497, 1997-10-30

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FEDERATED U.S. GOVERNMENT SECURITIES FUND: 5-10 YEARS

Institutional Shares
Institutional Service Shares
Supplement to Prospectuses dated April 30, 1997

[GRAPHIC OMITTED]

        Cusip 31428S107
        Cusip 31428S206
        G01618-03 (10/97)
[GRAPHIC OMITTED]

In the sub-section entitled "Adviser's Background," which begins on page 5 of
the respective prospectuses, please delete the fourth paragraph and replace it
with the following:

     "Donald T. Ellenberger has been the Trust's portfolio manager since October
     1997.  Mr.  Ellenberger  joined  Federated in 1996 as a Vice President of a
     Federated advisory subsidiary.  He has been a Vice President of the Trust's
     adviser   since   March   1997.   From  1986  to  1996,   he  served  as  a
     Trader/Portfolio Manager for Mellon Bank, N.A. Mr. Ellenberger received his
     M.B.A. in Finance from Stanford University."



                                                                October 30, 1997